Arete Wealth Advisors LLC Acquires New Holdings in Prospect Capital Co. (NASDAQ:PSEC)

Arete Wealth Advisors LLC purchased a new stake in shares of Prospect Capital Co. (NASDAQ:PSEC) during the 3rd quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The firm purchased 224,886 shares of the financial services provider’s stock, valued at approximately $1,199,000.

A number of other institutional investors also recently modified their holdings of the company. Y.D. More Investments Ltd grew its position in shares of Prospect Capital by 303.6% in the second quarter. Y.D. More Investments Ltd now owns 5,062,879 shares of the financial services provider’s stock valued at $29,064,000 after purchasing an additional 3,808,560 shares during the last quarter. Van ECK Associates Corp boosted its stake in Prospect Capital by 23.3% during the 3rd quarter. Van ECK Associates Corp now owns 8,938,863 shares of the financial services provider’s stock valued at $47,376,000 after purchasing an additional 1,690,290 shares during the period. International Assets Investment Management LLC grew its holdings in Prospect Capital by 344.0% in the 3rd quarter. International Assets Investment Management LLC now owns 933,083 shares of the financial services provider’s stock valued at $4,992,000 after buying an additional 722,925 shares during the last quarter. TrueMark Investments LLC bought a new position in Prospect Capital in the 2nd quarter worth approximately $2,107,000. Finally, XML Financial LLC lifted its holdings in shares of Prospect Capital by 10.4% during the second quarter. XML Financial LLC now owns 1,891,268 shares of the financial services provider’s stock worth $10,459,000 after buying an additional 178,330 shares during the last quarter. Institutional investors own 9.06% of the company’s stock.

Insider Buying and Selling at Prospect Capital

In other news, CEO John F. Barry bought 837,273 shares of the business’s stock in a transaction dated Monday, November 18th. The stock was bought at an average price of $4.47 per share, for a total transaction of $3,742,610.31. Following the completion of the purchase, the chief executive officer now owns 73,450,112 shares of the company’s stock, valued at approximately $328,322,000.64. The trade was a 1.15 % increase in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Insiders have purchased 3,063,173 shares of company stock worth $14,111,320 over the last three months. Company insiders own 27.10% of the company’s stock.

Wall Street Analyst Weigh In

Several brokerages have recently issued reports on PSEC. Wells Fargo & Company lowered their price objective on shares of Prospect Capital from $5.00 to $4.50 and set an “underweight” rating on the stock in a research note on Friday, August 30th. StockNews.com downgraded shares of Prospect Capital from a “hold” rating to a “sell” rating in a report on Friday, August 30th.

Prospect Capital Price Performance

Shares of NASDAQ:PSEC opened at $4.78 on Friday. Prospect Capital Co. has a 1-year low of $4.15 and a 1-year high of $6.30. The company has a current ratio of 0.48, a quick ratio of 0.48 and a debt-to-equity ratio of 0.65. The business’s 50 day moving average is $5.05 and its 200-day moving average is $5.28. The firm has a market capitalization of $2.08 billion, a PE ratio of -18.38 and a beta of 1.00.

Prospect Capital (NASDAQ:PSEC) last issued its earnings results on Friday, November 8th. The financial services provider reported $0.21 earnings per share for the quarter, beating the consensus estimate of $0.17 by $0.04. Prospect Capital had a negative net margin of 2.23% and a positive return on equity of 12.19%. The business had revenue of $196.31 million for the quarter.

Prospect Capital Announces Dividend

The business also recently declared a monthly dividend, which will be paid on Wednesday, February 19th. Investors of record on Wednesday, January 29th will be paid a $0.045 dividend. This represents a $0.54 annualized dividend and a yield of 11.30%. The ex-dividend date is Wednesday, January 29th. Prospect Capital’s dividend payout ratio is -207.69%.

About Prospect Capital

Prospect Capital Corporation is a business development company. It specializes in middle market, mature, mezzanine finance, later stage, emerging growth, leveraged buyouts, refinancing, acquisitions, recapitalizations, turnaround, growth capital, development, capital expenditures and subordinated debt tranches of collateralized loan obligations, cash flow term loans, market place lending and bridge transactions.